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Cash Control Reports We have designed a Daily Cash Balance Report to track the bank accounts and a Cash Activity Report to issue monthly, including a forecast of future months. Set up Files: Retain the original as a master copy. Assign a file name such as 05JanDailyCashBal.xls 05JanCashActivityRpt.xls Daily Cash Balance Report: This report is programmed to track daily receipts and payments. All amounts are entered as positive numbers and the formula controls the additions and subtractions. This should minimize the chance of footing errors. Columns are established to identify the type of transaction, the source of the deposit or checks written and additional comments if necessary. The daily balance prints at the bottom of the page. There are two pages to allow for 40 transactions within a month. If additional pages are needed copy the file and start a new cash balance sheet by posting the original beginning balance and the totals from the second page of the first file. The report is designed for use with a concentration (depository account) and a disbursement account (payment of invoices or transfers to imprest accounts such as payroll or a manger’s account). Columns on Left: The left side of the report is the Deposit activity. Columns on Right: The right side of the report is the disbursement activity. Bank Reconciliation The key to good cash control is the monthly bank reconciliation. Step #1 Upon receipt of the bank statements, the Controller must immediately compare to the Daily Cash Balance Sheet and account for any differences. Step #2 The balance must be compared to the general ledger account and any differences may require adjusting journal entries or corrections to the billing or accounts payable input. This step is key to identify possible billing errors, payments errors or bank drafts and charges initiated directly by the bank. Cash Activity Report: This report is designed to track the major cash activity for the month. The purpose is to identify the receipts and payments by key category. We have designed the report to follow the Daily Cash Balance Columns. At the end of each month, the totals from the Daily Cash Balance report should be posted to the monthly Cash Activity Report. The succeeding months should be estimated based on the prior year's cash activity. This results in presenting an actual cash to a forecast for the year. Each month the actual is posted, the remaining forecasted months will be added to provide an automatic update of the totals for the year. |
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mail@hilgerflick.com
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